XBRL is an XML-based technology standard that improves the way financial information is created, processed, distributed and analysed. XBRL uses “tags” that package information such as definitions, labels, references and time period around individual accounting concept. In other words, XBRL is a collection of standardized, machine-readable “tags” for line items in financial statements.

Taxonomies capture the definition of individual reporting accounting concepts as well as the relationships between various concepts. .
The taxonomy comprises of the following components:-

• Schema –The purpose of XBRL schemas is to define taxonomy elements (concepts) and give each concept a name and define its characteristics. It can be regarded as a container where elements and references to “linkbase” files are defined.
• Presentation linkbase –Business reports are in general organized into identifiable data structures e.g. a Balance Sheet. The presentation linkbase stores information about relationships between elements in order to properly organize the taxonomy content. This enables a taxonomy user to view a one dimensional representation of the elements. Defines the structure for displaying the data, along with the preferred label attribute.
• Calculation linkbase –The calculation linkbase defines basic calculation validation rules (addition/subtraction), which must apply for all instances of the taxonomy. establishes the arithmetical relationship of simple addition and subtraction, which is done by way of a weight attribute (1 or -1). The idea of a calculation linkbase is to improve quality of an XBRL report (XBRL instance).
• Reference linkbase-Most of the elements appearing in taxonomies refer to particular concepts defined by authoritative literature. The reference linkbase stores the relationships between elements and the references.
• Definition linkbase-The Definition linkbase stores other pre-defined or self-defined relationships between elements. For example a relationship can be defined that the occurrence of one concept within an XBRL instance mandates the occurrence of other concepts.
• Label linkbase –XBRL report presented in different languages, etc requires the taxonomies to represent business data in multiple languages. Therefore it is possible to create an element (concept) in the taxonomy with labels in different languages and or for different purposes e.g. a short label PPE compared to its long label Property, plant and equipment. Those labels are stored and linked to their respective elements in a label linkbase.

XBRL Schemas together with linkbases define an XBRL taxonomy.

Please refer to C&I Taxonomy Architecture Guide 2012 on the MCA XBRL website for more technical details on XBRL.

The taxonomy actually consists of XML and XSD files that are to be used by XBRL software to prepare/validate an instance document. Accordingly, XML and XSD file are to be used only by XBRL Software Vendors. The information contained in these XML and XSD files (taxonomy) have also been presented in ‘human-readable’ excel format for understanding of taxonomy to companies and professionals. For more details on the taxonomy, please visit the MCA XBRL portal.

The new Ind AS taxonomy is based up on Indian Accounting Standard issued by ICAI and is applicable for companies preparing their financial statements for accounting year commencing on or after 01.04.2015. All companies, who have prepared their financial statement as per Indian Accounting Standard (Ind AS) shall use the new Ind AS taxonomy for filing their XBRL documents.

In view of the applicability of the Indian Accounting Standard issued by ICAI, the recognition, presentation and disclosure of financial statement prepared for accounting year commencing on or after 01.04.2015 has undergone a change. Consequently, the MCA taxonomy (based upon Ind AS) has also been developed afresh. The broad differences between the Ind AS Taxonomy (based upon new Indian Accounting Standard) vis-à-vis earlier C&I Taxonomy (based upon Accounting Standard) are as follows:

a. The IND AS Taxonomy is based on the requirements of newly issued Indian Accounting Standard.

b. Requirements of new additional disclosures are also included.

c. The architecture of the taxonomy has undergone various changes with the increase in number of elements by approximately 64%. More number of tables and residuary elements have been introduced to the taxonomy. The count of whether elements have increased corresponding to the applicability of the tabular data.

d. Formula linkbase have also been developed to the Taxonomy to validate the relationship in XBRL monetary elements for The sum of Opening Balance and the corresponding changes entered during the year should match the Ending Balance for that year.

e. The concept of ‘dimensions’ has been introduced in the taxonomy as against ‘tuples’.